1 in 5 Australians don't have adequate insurance

About 9% indicated a need for health insurance.

In the past three years, about 17% of Australians surveyed said they needed insurance but either lacked coverage or had inadequate protection, affecting 3.6 million individuals, a Finder survey showed.

Approximately 9% needed health insurance, resulting in an average expense of $225 due to being uninsured.

Among those surveyed, 7% needed car insurance, costing an average of $497, whilst 6% required pet insurance, 5% travel insurance, and 4% home insurance, but lacked sufficient coverage when needed.

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Tim Bennett, an insurance expert at Finder, emphasised the importance of adequate coverage, likening underinsurance to wearing a hospital gown—feeling covered but not truly protected.

Nearly half (47%) of respondents had to dip into savings to cover expenses, 20% borrowed from friends, and 11% accrued debt. Shockingly, 16% left the issue untreated.

Bennett advised Australians to ensure their coverage matches the value of what they're protecting.

“Having an emergency fund can also help offset some of the burden of unexpected costs so you don't have to rely on family and friends, or go into unnecessary debt.” Bennett said.